[May 24, 2013]PEORIA -- Memorial Day is a time
to honor those who serve and remember those who have died in war.
But sadly, it has also become a key opportunity for scammers to
target those who are serving or have served their nation, especially
elderly veterans. As Memorial Day approaches, the Better Business
Bureau urges consumers and donors to be aware of scammers that feed
off the military.
BBB Military Line,
the military arm of the Better Business Bureau, provides free
resources, such as financial literacy information, access to BBB
services and scam alerts, and complaint and dispute resolution for
all branches of the U.S. military.
BBB warns of the following
scams that are directed at service members:
High priced
military loans -- Advertisements for loans that promise a
guarantee, instant approval or no credit check will often come
with hidden fees and extremely high interest rates. Remember
that legitimate lenders will never guarantee a loan before you
apply, and loans that require an upfront fee are likely a scam.
Veterans' benefits
buyout plans
-- Buyout plans will offer a cash payment in
exchange for a disabled veteran's future benefits or pension
payments. The cash amount is only about 30-40 percent of what
the veteran is entitled to. These buyout plans can be structured
in several different ways, so research thoroughly before signing
anything over.
Fake rental
properties
-- Stolen photos of legitimate rental properties
are used in advertisements that promise military discounts and
other incentives. Service members will have to pay a fee via
wire transfer for security payments or a key to the property --
and in the end they will receive nothing.
Phony jury duty
summons
-- A caller clams to work for the local court system
and states that the service member did not show up for jury duty
and there is now a warrant out for their arrest. When the victim
says they never got a summons, the caller will ask for a credit
card number or Social Security number to clear up the matter.
Misleading car
sales
-- Websites posting classified ads will offer false
discounts for military personnel or claim to be from soldiers
who need to sell their vehicle fast since they have been
deployed. Upfront fees will be required via wire transfer, or
the vehicle will have problems after purchase.
Expensive life insurance policies
-- Members of the military are often the targets of
high-pressured sales pitches that offer unnecessary, expensive
life insurance policies. Solicitors may make false statements
regarding the benefits that these policies offer.
Do your research.
Get as much information as you can about a business or charity
before you pay. Check out a business's BBB Business Review at
www.bbb.org or a charity's
Charity Report at www.give.org.
Don't wire
transfer money to anyone you don't know.
Money sent via wire
transfer is practically impossible to track. Pay by credit card
whenever possible, since you can dispute charges easily.
Protect your
computer.
Don't click on links within unsolicited emails.
Don't enter personal information on unfamiliar websites. Make
sure that you have updated anti-virus software installed and use
a firewall at all times.
Put an active-duty alert on your credit
reports when deployed.
Doing so will minimize the risk of
identity theft, because creditors and businesses cannot issue or
grant credit until verifying identity.
___
For 100 years, the Better Business Bureau has been helping
consumers find businesses, brands and charities they can trust. In
2012, consumers turned to BBB more than 100 million times for
reviews on more than 4 million companies and reports on 11,000
charities, all available for free at
www.bbb.org. The Council of Better Business Bureaus is the
umbrella organization for 114 local, independent BBBs across the
United States and Canada, as well as home to its national programs
on dispute resolution and industry self-regulation.
